Just plane !!despicable
I feel a civil war coming on. Anyone with me?
Bad timing for sure. But since they already have a signed contract it would probably cost them a bunch of my $$$ just to unload said contract.
I know, right?
you all have it wrong
what??? a fifty million dollar expenditure such as this, and your bank is on the edge of bankruptcy, just rediculous. absolutely rediculous. Someone out there will say that it is nothing new and I know that. this stupidity just makes the news more often now.
money vs. looking bad. which one do you chose. Myself i would bail out of contract at any cost. doing this is wrong,just wrong.
The problem, as usual, is the ignorant and biased perception that corporate airplanes are a fat cat luxury, rather than the legitimate, efficient, productive, and secure, travel tool that they really are. And in a publicly traded company its use is closely monitored. Yes I know that corporate abuse is prevelent right now, but that doesn’t change the primary premise for the use of corporate aircraft. It’s a capital expenditure just as buying a bunch of computers.
The purchase of this aircraft was contracted 4-5 years ago. And was included in Citi’s bugetary planning. The very budget that was reviewed by congress before TARP monies were released. Citi currently operates two Falcon 900’s that are being sold. So the net change is actually a little less by having only one 7X. Also…it’s not like Citi is going to just stroke a check for $50M. The asset will be amortized, depreciated, and tax valued like most capital expenditures.
If they were to just bail on the 7X purchase contract, they would lose several million dollars in deposits. If they try to immediately sell it they would stand to lose many millions from current market devaluation. Some have suggested that Citi just keep and refurbish their current Falcon 900’s… But that doesn’t make good fiscal sense as Citi has depreciated those aircraft out, and has no further tax advantage with them. So it’s better business to take delivery of the 7X.
With all of the attention that corporate aircraft have received lately, I’d say that it’s a safe bet that Citi has evaluated this purchase very closely. And has considered the options…including the potential (now the reality) of negative media attention. In the big scheme of things this is just business, legitimate business. And the issue would be of little, if any, interest if it weren’t for biased media sensationalism playing on the emotion and ignorance of the sheeple.
Relax people… They are much more important things in life to be concerned about.
The article in the New York Post says that Citi is selling the two corporate jets they already have for 27 million apeice if you multiply 27 two times and accept the new jet that’s worth 50 million you get a net gain of 4 million not a bad deal at all for Citi methinks
How was the kool aid?
Think maybe you’re a little biased. Tax advantage? Lets spend $50MM to save how much in taxes? The last thing Citi needs are more write offs, how about some profits, huh? Don’t defend the decisions of people who had to beg for public money just to stay afloat, then take delivery of an ultra luxury jet. That right is reserved for those that make money. Lots of it. The corporate greed knows no bounds. Guess you’re not a C shareholder.
Since this was purchased AFTER the “bailout” money was received, and that money being our tax dollars, wouldn’t that technically make it a fractional ownership? Disucss…
I thank your for your explanation. It will change my opinion somewhat. if it was bought with profits from previous years, thats what has changed my opinion, with my sincere apologies to all flight crews that are on these discussion pages, I think that it is a way for the rich and famous to flaunt there wealth. just one mans opinion, and it stinks i know.
see what a little bad press will get you. they need to hold off until things get better for ALL OF US. i know what i said earlier, and if they just got to have it then oh well. we all know that perception seems to be worse than reality.
Apparently you’re the one consuming the “kool aid”… With due respect, you don’t seem to understand the “business” side of this. And I speak from experience…it’s complicated. But it’s not what the media wants the public to believe.
hey azav8r, i would love to hear the long version, of the business side of the bizjet biz. If you want to pm me please do. we could get into all of that if you want to. I think you know that perception of a problem is worse than the reality of a problem. I figured out your a pilot, and will have your side of the story, and I am not a pilot or a person with tons and tons of money, so we will call that a push. lets have a civil discussion out here on these pages or we could discuss this in private. thanks
Hopped on newsvine.com, to be expected, a bunch of rich-bashers. 99.999% of them think that private jets are just for luxury travel and commercial will be just as good. There’s a difference between having a legitimate argument and
They should all have to fly COMMERICAL airlines!!! Not one of them is any better than the rest of us. When I buy a ticket…to fly…I look for the cheapest airfare I can get. I don’t get to fly a private jet. I can’t afford it. And neither should the CEO’s or one single person sitting on Capitol Hill.
I am driving my 96 Chevy with 123,000 miles on it. I have always owned AMERICAN made cars and driven them until they had over 100,000 miles on them. Then my grandchildren drove them for another 50,000.
Never had to put a ton of money in the cars.
It is just a matter of taking care of the car you buy.
It is time to BUY AMERICAN.
Wouldn’t want to be his grandson…
someone explain to me, why? I just want to hear a decent plausible reason to have a bizjet. I havent heard any reasons good or bad. just that people and businesses have them.If someone could explain i will be ok with that and go on to other subjects.
Even though I’m an airline guy, I’m going to defend the biz jets.
How many of you drove to work or school or somewhere in the past week? Was public transportation available? Public transportation is cheaper than driving on your own.
I don’t think it’s right to be purchasing new aircraft when you’re bleeding cash, on the public dole, and your shareholders are getting piped(to the tune of 95%+in some cases). Without saying “it’s good business”, please tell me how this will save money for citi? Why not put some of those pampered exec’s on Delta or AA? It is impossible to defend such a purchase. Take a look at a recent P & L, or balance sheet.